NYSE$CHE

Chemed Corp · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Chemed's Q2 2020 earnings were reported, with revenue increasing and adjusted EPS surpassing the previous year.

Chemed Corporation reported a 6.0% increase in revenue to $502 million. GAAP diluted EPS increased by 62.7% to $5.01, and adjusted diluted EPS increased by 31.3% to $4.41.

  • Consolidated revenue increased by 6.0% to $502 million.
  • GAAP diluted EPS increased by 62.7% to $5.01.
  • Adjusted diluted EPS increased by 31.3% to $4.41.
  • Roto-Rooter's quarterly revenue increased by 8.6% to $175 million.

Headline financials

Total Revenue

$502M

Previous: $474M+6.0%
EPS (adj)

$4.41

Previous: $3.36+31.3%
Average Daily Census

19.2K

No prior period
VITAS Admissions

16.8K

No prior period
Capital Expenditures

-$32.3M

Previous: -$28.3M-13.9%
Free Cash Flow

$49.9M

Previous: $22.4M+122.4%
Net Income

$82.1M

Previous: $50.7M+61.8%
Operating Income

$92.8M

Previous: $65.5M+41.6%
Gross Profit

$150M

Previous: $150M+0.1%
Cash & Equivalents

$20.4M

Previous: $3.32M+513.2%
Total Assets

$1.29B

Previous: $1.09B+18.0%

Revenue & EPS history

Chemed · Revenue · Quarterly

$502M

Q2 2020+6%vs Q2 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Chemed · $502M total across 2 segments · Q2 2020

  • VITAS Healthcare
    $327M
  • Roto-Rooter
    $175M

Forward guidance

Chemed provided full-year 2020 adjusted earnings per diluted share guidance, excluding certain non-cash expenses and discrete items, estimated to be in the range of $16.20 to $16.40.

Tailwinds

  • VITAS revenue growth is estimated to be in the range of 5% to 7%.
  • Average Daily Census is estimated to expand approximately 2% to 4%.
  • Adjusted EBITDA margin is estimated to be 19% to 20%.
  • Roto-Rooter is forecasted to achieve full-year revenue growth of 9% to 10%.
  • Roto-Rooter’s Adjusted EBITDA margin is estimated to be in the range of 23% to 25%.

Headwinds

  • The pandemic will continue to materially disrupt all aspects of the healthcare system and general economy.
  • Governmental decisions have the potential for an immediate and material impact on VITAS and Roto-Rooter operating results.
  • Medicare Cap billing limitations for calendar year 2020 are estimated at $17 million.
  • Future rules, regulations and government mandates could materially impact Chemed's ability to achieve its guidance.
  • Chemed’s full year adjusted earnings per share guidance eliminates any financial benefit from the CARES Act funds that relate to lost revenue.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

+0.7%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.1%

Avg return

30 days after

53%

36 / 68 earnings

Positive

+13.0%

Q3 2015

Best reaction

-14.8%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.4%-0.1%+4.0%
Q4 2025-14.8%-9.1%-21.0%
Q3 2025+6.0%+0.4%+0.1%
Q1 2025-6.6%-1.8%-2.7%
Q4 2024+7.4%+7.7%+11.0%
Q3 2024-12.0%-12.7%-6.2%
Q2 2024-0.1%+2.4%+5.7%
Q1 2024-7.0%-8.1%-9.9%
Q4 2023+5.1%+2.6%+7.3%
Q3 2023+9.3%+10.9%+14.4%
Q2 2023-8.1%-8.0%-10.8%
Q1 2023-3.7%-2.2%-4.1%
Q4 2022+3.3%+1.7%+1.9%
Q3 2022+3.2%+4.1%+12.6%
Q2 2022-6.8%-9.2%-8.3%
Q1 2022-1.4%-1.0%+0.8%
Q4 2021+5.1%+5.8%+3.8%
Q3 2021+9.2%+9.0%+9.4%
Q2 2021-4.4%-0.4%-2.4%
Q1 2021+1.5%+2.3%+6.1%
Q4 2020-0.8%-6.7%-3.9%
Q3 2020+1.2%+3.5%+0.2%
Q2 2020+9.0%+10.3%+12.2%
Q1 2020-3.9%-6.5%+5.6%
Q4 2019+3.2%-1.2%-23.1%
Q3 2019-1.7%+0.6%+5.9%
Q2 2019+3.7%+8.1%+13.9%
Q1 2019-0.6%+0.7%+0.3%
Q4 2018+1.3%+2.8%+1.9%
Q3 2018+6.2%+6.6%+7.6%
Q2 2018+0.4%-2.5%+0.1%
Q1 2018+3.0%+3.3%+13.4%
Q4 2017+2.4%+2.1%+12.9%
Q3 2017+9.1%+5.0%+12.7%
Q2 2017-1.1%-2.3%-6.3%
Q1 2017+10.0%+9.4%+9.0%
Q4 2016+1.9%+2.0%+9.1%
Q3 2016-0.3%+1.8%+6.3%
Q2 2016+5.0%+3.0%-7.9%
Q1 2016-6.7%
Q4 2015-5.6%
Q3 2015+13.0%
Q2 2015+5.1%
Q1 2015-4.7%
Q4 2014+7.5%
Q3 2014-1.2%
Q2 2014+4.3%
Q1 2014-3.3%
Q4 2013+10.5%
Q3 2013-5.2%
Q2 2013-7.3%
Q1 2013+3.4%
Q4 2012+4.9%
Q3 2012-2.0%
Q2 2012+5.1%
Q1 2012+2.9%
Q4 2011+0.0%
Q3 2011+1.5%
Q2 2011-5.8%
Q1 2010-2.6%
Q1 2011+1.8%
Q4 2008-1.6%
Q4 2010-1.6%
Q3 2009+1.4%
Q3 2010+1.4%
Q2 2010-0.9%
Q2 2009-0.9%
Q4 2009-0.9%

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